Tech Mahindra Limited has acquired 51% stake on a fully diluted basis in Comviva Technologies Limited, which provides mobile Value Added Services (VAS), Mobile Money and Mobile Payment solutions. The deal will be subject to regulatory approvals.
The new brand identity will be Mahindra Comviva, reflecting the combined strength and spirit of both the entities.
Commenting on this move, Vineet Nayyar, Executive Vice Chairman, Tech Mahindra said, “This acquisition is a significant step forward, in our vision of being a complete and comprehensive partner to our clients and like always, we are confident of making this a successful venture for our stakeholders. In addition to the market leading capabilities, this will also add to our relationship with large operator groups across the world.”
This acquisition will significantly enhance Tech Mahindra’s capabilities in the mobile VAS domain and will provide access to a marquee client base, enabling significant cross-selling opportunities. It dovetails into two of Tech Mahindra’s stated strategies, namely investing in emerging areas such as Network, Mobility, Analytics, Cloud and Security and further focus on non-linear growth. Comviva’s primary focus and business model is expected to strengthen this aspiration.
Comviva has an extensive portfolio of solutions spanning mobile money and payments, mobile data, integrated messaging, mobile lifestyle and customer life cycle management solutions, which enable mobile service providers to enrich mobile users’ lives, whilst rationalizing costs, accelerating revenue growth and enhancing customer lifetime value. Comviva’s solutions are deployed with over 130 service providers and banks in over 90 countries across Asia, Africa, Middle East, Latin America and Europe, and powers services to more than a billion mobile subscribers.